Technicians assembling solar panel units in a factory at Great Noida

India's eight core infrastructure sectors registered a modest growth of 1.8 per cent in November 2025 compared to the same month a year earlier, driven primarily by gains in cement, steel, fertiliser, and coal production.

Official data released by the Ministry of Commerce and Industry on 22 December 2025 highlighted this performance in the combined Index of Eight Core Industries (ICI).

The ICI tracks output from coal, crude oil, natural gas, refinery products, fertilisers, steel, cement, and electricity, collectively representing 40.27 per cent of the weight in the Index of Industrial Production (IIP).

This November figure marks an improvement over October 2025's revised final growth of 0.1 per cent, which had been a provisional 14-month low.

Cumulatively, core sector output expanded by 2.4 per cent during April-November 2025-26 against the year-earlier period, reflecting steady if tempered industrial momentum.

Coal production rose by 2.1 per cent in November 2025 year-on-year, providing a stable base despite a cumulative decline of 1.4 per cent over the April-November span.

Cement output surged impressively by 14.5 per cent in the month, the strongest performer, underpinned by robust construction and infrastructure demand; its cumulative growth stood at 8.2 per cent.

Steel production advanced by 6.1 per cent in November, with a robust cumulative increase of 9.7 per cent for April-November, signalling strength in manufacturing and downstream sectors.

Fertiliser production grew healthily by 5.6 per cent year-on-year in November, supported by agricultural needs, while cumulatively it edged up 1.3 per cent over the eight-month period.

In contrast, crude oil output contracted by 3.2 per cent in November, with natural gas declining 2.5 per cent, reflecting ongoing challenges in upstream energy segments.

Petroleum refinery products saw a marginal dip of 0.9 per cent for the month, though they managed a slim cumulative gain of 0.2 per cent during April-November.

Electricity generation slipped by 2.2 per cent in November, with a cumulative contraction of 0.3 per cent, possibly linked to seasonal factors and demand fluctuations.

These divergent trends underscore resilience in material-intensive sectors amid pressures on energy production, influencing broader industrial indicators like the IIP.

The positive contributions from cement and steel align with government pushes for infrastructure development under initiatives like Gati Shakti.

Fertiliser growth supports the agricultural backbone, while coal's modest uptick aids power and steel sectors despite cumulative softness.

Persistent declines in crude oil and natural gas highlight India's reliance on imports and the need for enhanced domestic exploration efforts.

Refinery products' near-stagnation points to balanced supply-demand dynamics, tempered by global oil price volatility.

Overall, the 1.8 per cent ICI growth signals a cautious recovery trajectory for FY 2025-26, with cumulative expansion at 2.4 per cent suggesting potential for acceleration if energy segments stabilise.

Policymakers will likely monitor these indicators closely, as core sectors' weighting in IIP offers early insights into manufacturing and industrial health.

This data release coincides with recent industrial production slowing to 0.4 per cent in October, attributed partly to festival-related fewer working days.

Based On ET News Report